Antony Muli t/a Mutembei Mathoka General Store v Kilalani Farmers Co-operative Society Ltd (? 467 of 2014) (Environment and Land) [2014] KEELC 260 (KLR)
The bottom line
#A Kenyan court stopped a landlord's eviction and massive rent hike, but only because the tenant agreed to pay higher interim rent while a tribunal decides the dispute.
What this practically means
#Executive summary
#Key legal issues
#Jurisdiction of the Court over a controlled tenancy dispute where references are pending in the Business Premises Rent Tribunal
The Court has jurisdiction to entertain the application, particularly as the Tribunal cannot grant injunctions, but the court in its discretion stayed the suit pending the Tribunal's determination of the tenancy's status
The tenancy is a controlled tenancy under section 2 of the Act. Following Caledonia Supermarket, the Tribunal lacks power to grant injunctions, so this Court is the proper forum. However, the Act does not oust the court's jurisdiction under Article 162(2) and section 13 of the Environment and Land Court Act; the court may defer to the Tribunal where appropriate, and here the substratum of the dispute - the status of the tenancy - falls for the Tribunal, which is now operational.
Whether the Applicant established conditions for a temporary injunction
A prima facie case was established because the rent-increase notice gave only a few days' notice contrary to section 4, but no irreparable damage not compensable in damages was shown, so the injunction was granted only conditionally with interim rent fixed at Kshs. 90,000/= per month
Applying Giella v Cassman Brown, the invalid notice under section 4 established a prima facie case. However, the Respondent can refund any excess rent received over Kshs. 21,000/=, so damages would suffice. Balancing fairness - the rent was fixed in 1999, 15 years earlier - the court imposed a reasonable rent calculated at 10% yearly increment from 1999, and conditioned the injunction on its payment.
Legal principles established
#- The Business Premises Rent Tribunal has no jurisdiction to grant injunctions; the proper forum for an injunction relating to a controlled tenancy is the High Court/Environment and Land Court
- The Landlord and Tenant (Shops, Hotels and Catering Establishments) Act does not oust the Environment and Land Court's jurisdiction under Article 162(2) and section 13 of the Environment and Land Court Act
- A landlord altering a controlled tenancy term (including rent) must serve at least two months' notice in the prescribed form specifying grounds, per section 4 of the Act
Court orders
#- 1.The suit is stayed pending the hearing and determination of Tribunal Case No. 22 of 2012, Tribunal Case No. 36 of 2012, and Tribunal Case Number 37 of 2012 in the Business Premises Rent Tribunal
- 2.Pending determination of the said Tribunal cases, status quo to be maintained: the Respondent/Landlord is restrained from evicting, levying distress or interfering with the Applicant/Tenant's quiet possession of Machakos Town Block 11/261, on condition that the Applicant pays monthly rent of Kshs. 90,000/= with effect from July 2014
- 3.The parties shall be at liberty to apply
- 4.The costs of the Notice of Motion dated 15th April 2014 shall be in the cause
- Jurisdiction invoked
- Article 162(2) of the Constitution and section 13 of the Environment and Land Court Act; Articles 165 and 162 invoked by the Applicant
Key timeline
#Practical implications
#Frequently asked questions
#Later judgments citing this (3)
#Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.
- Systemedia Technologies Limited v Matheka & 3 others[2023] KEELC 18488 (KLR)29 Jun 2023
- Simon Macharia Kairu v Stephen K Waruingi & another [2019] KEELC 2764 (KLR)[2019] KEELC 2764 (KLR)24 Jun 2019
- Sargo Ngetich & Co Advocates v Sedco Consultants Ltd [2015] KEELC 17 (KLR)[2015] KEELC 17 (KLR)23 Oct 2015
Cite this brief
#Cite this brief
Caselaw, "Antony Muli t/a Mutembei Mathoka General Store v Kilalani Farmers Co-operative Society Ltd (? 467 of 2014) (Environment and Land) [2014] KEELC 260 (KLR)", Case Analysis (2014). . Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2014/260/eng@2014-07-07
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.